The Euro resumes steep descend from 1.1458, 18 Sep high, commencing fresh leg lower, after completion of near-term 1.1180/1.1215 consolidation. Strong bearish sentiment continues to drive the pair lower, as past two-day bearish acceleration, left two long red daily candles. Yesterday’s break and close below falling 200SMA, which currently lies at 1.1209 and caps today’s action for now, confirms bearish resumption. Immediate support lies at 1.1145, daily 100SMA, ahead of 1.1121, daily Ichimoku cloud top that mark the last obstacles en-route to 1.1086 base, for full retracement of 1.1086/1.1458 rally. Corrective rallies on oversold near-term conditions are expected to interrupt bears. Base of 4-hour Ichimoku cloud at 1.1230, offers next resistance above 200SMA, with extended rallies to be ideally capped at 1.1270, former low of 18 Sep.
Res: 1.1209; 1.1230; 1.1270; 1.1329
Sup: 1.1145; 1.1121; 1.1086; 1.1017
Near-term studies are weakening and turn focus lower, following yesterday’s close below thin daily Ichimoku cloud and fresh weakness that cracked pivotal support of daily 30SMA at 1.5485. Today’s action is trading in consolidative mode, entrenched between daily 30 and 100SMA’s that lay at 1.5482 and 1.5530 respectively. Break below daily 30SMA support, also near Fibonacci 38.2% of 1.5163/1.5656 rally, to signal resumption of pullback from 1.5656, 18 Sep high. Fresh bears are expected to open daily 10SMA at 1.5460, ahead of 1.5393, falling daily 20SMA and below the mid-point of 1.5163/1.5656 rally Descending daily slow Stochastic, on reversal from overbought territory, supports the notion. Lift above 100SMA, would delay bears, while regain of levels above 1.5566, yesterday’s high and 50% of 1.5656/1.5480 pullback, is expected to neutralize near-term bears.
Res: 1.5530; 1.5566; 1.5588; 1.5626
Sup: 1.5480; 1.5460; 1.5393; 1.5351
The pair regained traction, following yesterday’s fresh extension of recovery rally from 119.05, which peaked at 120.64, short of triangle resistance at 120.73. The price remains within narrowing triangle, showing no clear direction, for now. Technicals of daily chart are weak, with price action being entrenched between daily 20SMA, which contained overnight’s dips and triangle resistance, reinforced by 200SMA, at 120.82. Pullback off 120.64 high, should be ideally contained at 120 zone, around 38.2% of 119.05/120.64 upleg, to keep renewed attempts at triangle resistance in play. Otherwise, stronger weakness could be expected, with loss of 119.71 higher base, to reverse near-term focus towards the triangle support, currently at 119.09.
Res: 120.52; 120.64; 120.73; 120.82
Sup: 120.03; 119.85; 119.71; 119.42
Extended pullback from 0.7278 high, found temporary support at 0.7120, where hourly base is forming. Dips were contained for now, by ascending daily 10 SMA, keeping intact pivotal 20SMA at 0.7087. Bearishly aligned near-term studies, see risk of fresh weakness, expected on completion of corrective rally from 0.7120. Rallies should be ideally capped under 0.72 barrier, mid-point of 0.7278/0.7119 pullback, before fresh attempts lower, as daily slow Stochastic that reversed from overbought territory, shows room for further easing. Only sustained break above 0.72 barrier, would sideline downside risk.
Res: 0.7180; 0.7200; 0.7217; 0.7240
Sup: 0.7120; 0.7092; 0.7048; 0.7033